Singapore markets closed
  • Straits Times Index

    3,294.86
    +0.04 (+0.00%)
     
  • Nikkei

    27,522.26
    -250.67 (-0.90%)
     
  • Hang Seng

    24,965.55
    +13.20 (+0.05%)
     
  • FTSE 100

    7,494.13
    -90.88 (-1.20%)
     
  • BTC-USD

    35,751.91
    -2.89 (-0.01%)
     
  • CMC Crypto 200

    870.86
    +628.18 (+258.85%)
     
  • S&P 500

    4,397.94
    -84.79 (-1.89%)
     
  • Dow

    34,265.37
    -450.02 (-1.30%)
     
  • Nasdaq

    13,768.92
    -385.10 (-2.72%)
     
  • Gold

    1,836.10
    -6.50 (-0.35%)
     
  • Crude Oil

    84.83
    -0.72 (-0.84%)
     
  • 10-Yr Bond

    1.7470
    -0.0860 (-4.69%)
     
  • FTSE Bursa Malaysia

    1,527.06
    -0.69 (-0.05%)
     
  • Jakarta Composite Index

    6,726.37
    +99.50 (+1.50%)
     
  • PSE Index

    7,293.52
    +54.24 (+0.75%)
     

Trading in shares of Chinese developer Kaisa suspended -HKEX

·1-min read
A sign of the Kaisa Group Holdings is seen at the Shanghai Kaisa Financial Center, in Shanghai

HONG KONG (Reuters) -Trading in shares of embattled Chinese developer Kaisa Group Holdings was suspended on Wednesday, according to the Hong Kong stock exchange.

The suspension comes after a source with direct knowledge of the matter said Kaisa was unlikely to meet its $400 million offshore debt deadline on Tuesday.

Non-payment by Kaisa would push the 6.5% bond of Kaisa, China's largest holder of offshore debt among developers after Evergrande, into technical default, triggering cross defaults on its offshore bonds totalling nearly $12 billion.

To avoid default, bondholders owning over 50% of notes due on Dec. 7 and Kaisa notes worth a total of $5 billion sent the company draft terms of forbearance late on Monday, a separate source with direct knowledge of the matter said.

Even in the case of a technical default, Kaisa and offshore bondholders could discuss forbearance terms, two sources with knowledge of the matter said.

Kaisa, whose shares rose 1.1% on Tuesday, said it was open to discussion on forbearance, without elaborating.

Larger rival China Evergrande also did not make payments on some U.S. dollar bonds at the end of a month-long grace period, sources familiar with the situation told Reuters on Tuesday, setting the stage for a massive default by the world's most indebted property developer.

(Reporting By Anne Marie Roantree and Donny Kwok; Editing by Kim Coghill)

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting